In a curious press release, Polestar announced the closure of its Polestar Space in Indre By, right in the heart of Copenhagen. This location was one of the first opened in Europe and was inaugurated in 2021.
According to Polestar, the reason “does not reflect a retreat, but rather a significant expansion — a growth that can no longer be contained in the original Space.” Morten Skov, Store Manager of the Space who announced its closure on LinkedIn, said it is shutting down “because of [Polestar’s] success in Denmark.”
The Swedish brand, part of the Geely Group and founded in 2017 out of Volvo’s former performance division, will keep its other Spaces in the Greater Copenhagen area open — namely, those in Vallensbæk and Nærum. Recently, it also opened new Spaces in Odense and Aalborg, as part of an expansion strategy similar to the one it’s pursuing in Italy.
Polestar in Denmark
As stated by Henrik Bang, Director of Polestar Denmark, the closure also seems to be linked to the brand’s expanding lineup. The central Copenhagen Space is now considered “unable to meet our current and future needs,” especially with the upcoming launch of the new Polestar 5, expected to be unveiled later this year and to debut in 2026, as well as the Polestar 7, which will be the brand’s first compact SUV.
However, the numbers tell a more nuanced story. While Polestar initially saw great success in Denmark — with the Polestar 2, particularly its early versions, becoming a common sight in Copenhagen, nearly on par with the Tesla Model 3 and Y — the situation has shifted somewhat over the past two years. Like in much of Europe, the brand has faced challenges, and the Polestar 2 is no longer among the best-selling models.
Between January and April, Polestar sold 660 cars in Denmark — more than double the 318 sold during the same period in 2024, when the only model available was the 2. The brand currently holds a market share of 1.3% (source: mobility.dk), which is still stronger than in most other European countries.
That said, several competitors are outperforming Polestar in Denmark. Besides the usual dominance of the Volkswagen Group and Toyota, Chinese automakers like Xpeng, MG, and BYD are also doing better than the Geely’s brand, despite Danes’ traditional reluctance to buy brands from the People’s Republic.
The Polestar 2 remains the brand’s best-selling model, with 388 units registered between January and April — a slight increase over the 318 units in 2024, when it was still Polestar’s only offering. It’s followed by the Polestar 4, with 238 units (a model we found less convincing — I personally called it “a beautiful disaster”), and the Polestar 3, which saw 34 registrations so far, with deliveries having only just begun.
